Behind the skyrocketing Ethereum fees, are other public chains okay?
Ethereum’s handling fee skyrocketed tenfold in May!
In the past, it was three or five cents to transfer money, but now it is two or three yuan.
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bitcoin
bitcoinEthereum
EthereumOn the other hand, the number of active addresses on the entire network in May was 16.1877 million, an increase of 6.70% from April, and the growth rate increased by 3.79% from the previous month. The number of newly added addresses was 4,285,800, a drop of 16.20% from April.
Among the mainstream projects, the active addresses of LTC and BCH have increased by more than 20%, while the active addresses of NEO, TRX, ETC, and ZCASH have all decreased by more than 10%, occupying the top positions in the increase list and decrease list respectively. It should be noted that the relationship between substantial growth and decline is not necessarily proportional to the market, but the two ends of the distribution of growth and decline may mean that we can pay attention to the recent market trends of these projects.
Separately, after two consecutive months of downturn, the active addresses of Bitcoin on the entire network have returned to a new high this year, breaking through 25 million in February, which is also consistent with the recent continued strong performance of the market.
However, Ethereum still maintained a steady growth momentum, and the number of active addresses continued to rise month after month. This continuous upward momentum means that activities on the Ethereum network are constantly enriching, including Defi and stable currency activities, which have made a greater contribution to this.
We checked the transaction fees and miners' income on Ethereum during the same period, and we can see that the transaction fees on Ethereum have continued to rise recently. In the past 30 days, the transaction fees have accounted for about 12% of the miners' income.
Transaction Fees
Transaction Fees
Transaction FeesIt can also reflect the real activity of the blockchain network. This relationship is as if you can learn about the real user data of an Internet company by investigating the number of verification codes issued recently by an Internet company.
An interesting phenomenon is that after Bitcoin is halved, the transaction fee on the chain has skyrocketed.
A rise in handling fees usually means a rise in people's demand for money transfers. The last time bitcoin fees skyrocketed was in May 2019, you know.
What is more embarrassing may be the status quo of other public chains after excluding Ethereum and Bitcoin.
Trx, Ltc, and Xmr are our top three for on-chain fees after excluding Bitcoin and Ethereum. Although it is accompanied by various controversies, with the steady advancement of TRC20 USDT and its own ecological construction, the transaction fee on the TRON chain has reached the third place in the entire network.
The monthly transaction fee for most public chains is less than $10,000. In other words, almost all miners' income comes from block rewards. Under ideal conditions, we would prefer to see the proportion of transaction fees in miners' income continue to rise, and the proportion of block explosion rewards slowly decrease, so as to complete the real implementation of the public chain.
In terms of the number of transactions, it can be regarded as the combination of public chain performance and implementation. On the one hand, the number of transactions is closely related to the block generation time, which is the main reason why IOST, Tron and Ripple can occupy the top three.
On the other hand, the implementation of the project itself will bring more transactions on the chain. Although Ethereum and Bitcoin do not have an advantage in block generation time, their own volume can still occupy the forefront of this data.
In addition, we are also concerned about changes in some projects,WanThe number of on-chain transactions in May showed a blowout surge, which may mean that the once star projects will have some moves in the near future. The activity of USDT on the OMNI chain has dropped month after month. Slow transfers, high handling fees, and USDT's rapid progress on Ethereum and TRON chains have exposed OMNI's inherent flaws.
Overall, the on-chain activity in May gives us a more optimistic view of the near-term direction of the crypto market.
But at the same time, every project that claimed to be "Blockchain 3.0" may have to face a similar problem: how to get enough developers and communities to develop its own ecology.
